Water Reinvestment Programme

Turning one donation into a growing rural water economy.

The Challenge

Why donors are tired of funding water.

Rural water projects often fail; systems aren’t built to last and long-term incentives are not aligned across stakeholders.

  • Infrastructure breaks down within 3–5 years.

  • No capital recovery = no reinvestment.

  • Communities can’t cover full costs on their own.

  • Cash handling and opaque revenue undermine trust.

  • Implementers often exit after handover.

The Solution

The DMDO’s Water Reinvestment Programme. A replicable, scalable rural water model.

The Water Reinvestment Programme combines smart meters, revenue-sharing, and long-term partnerships with communities.

Key features:

  • Capital recovered and reinvested.

  • Local organisations (CBWSOs) manage systems.

  • Transparent prepaid meters and digital tracking.

  • Shared responsibility, shared reward.

How it Works

1. Investment

DMDO provides infrastructure, CBWSO training, and hygiene education.

2. Prepaid Smart Meters

Water is paid for via mobile money. Usage and revenue data are tracked in real time.

3. Revenue Sharing

50% to CBWSO (O&M + reserves), 50% to DMDO (capital recovery + costs).

4. Responsibility

CBWSOs own demand generation. The more they market and maintain the system, the more they earn.

5. Data-Driven Decisions

Usage data shows exactly how water is consumed. CBWSOs and DMDO use this to improve performance.

Why it Works

It aligns incentives and builds systems that last.

  • DMDO stays engaged for 10+ years

  • CBWSOs benefit directly from increased usage

  • No non-revenue water - every litre is prepaid

  • Donor money multiplies through reinvestment

  • Data supports accountability and performance

Assumptions

Forecasting purposes, we assume:

  • a price per litre of water of TZS5 (4 litres = 1 cent);

  • capital investment of $200 per household; and

  • 4 people per household.

Demand is the main driver of the model. Investment recovery over 10 years requires an average across the year of 15 litres per person per day consumption.

We are working to achieve this.

For Donors

A donation today builds a system that grows tomorrow.

  • 100% of donation goes to infrastructure.

  • Transparent recovery model = no hidden overhead.

  • Every litre is tracked.

  • Every project has a clear recovery and reinvestment pathway.